No free lunch to be given to any industry or sector through GIDC settlement: Omar Ayub

September 4, 2019: Minister for Power and Petroleum Omar Ayub Khan has said that decision to write off due amount in Gas Infrastructure Development Cess has been made to resolve this long pending issue and give benefit of low prices to consumers.

Addressing a news conference in Islamabad on Wednesday along with Special Assistant to Prime Minister on Information and Broadcasting Dr. Firdous Ashiq Awan and Advisor on Petroleum Nadeem Babar, he said the step has been taken in line with the policy of the PTI government and vision of the Prime Minister Imran Khan to reduce the impact of prices on common man.

Omar Ayub Khan said the ordinance has been brought with complete transparency and the representatives of the Ministry of law, petroleum and finance were present in meetings held in this regard.

He said no free lunch is being given to any industry or sector through this measure.

Omar Ayub Khan said government strongly believes in transparency and will not take any step against the public interest.

The Minister said the fertilizer industry will have to submit a forensic audit to determine if it had collected GIDC from farmers, and if so, to what extent.

They would have to refund such amounts to the farmers through future price adjustment or surrender these amounts to the government treasury.

He said the amount waived off will be used by these companies for developing and improving infrastructure.

He said in total there are seven beneficiary fertilizer companies, of which two have already availed the facility during PPP tenure.

GIDC was instituted by the then government in 2011. It accumulated to 217 billion rupees but was later struck down by Supreme Court in 2014.